The missing information in the article was that Skyhook was attempting to execute a contract that would have made it's services EXCLUSIVE on Motorola devices - contractually forcing Motorola to remove parts of Android that handle location services - potentially breaking the Android API on Motorola phones. http://www.nytimes.com/2010/09/16/technology/16phone.html?_r=2&hpw
Skyhook is using it's patents and other "intellectual property" to monopolize the market for positioning when a GPS satellite is not visible (indoors, in a city, during harsh weather). Skyhook's terms would have made Android less functional potentially breaking Google Maps, Google Navigate, etc. and forcing users into a proprietary application stack. Google is using it's muscle to attempt to open up the market to competition in a space where both Skyhook and Google can provide services on top of the Android platform by forcing companies like Skyhook to stop with these "exclusivity" deals. I don't understand how that makes Google "evil" on it's face. There is nothing Google is doing that prevents Skyhook from being installed on Android so long as nothing is removed. Skyhook is making a marketing appeal, but look who has more to loose and who has more to gain through all of this.